RH (RH) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

NYSE•Consumer Cyclical•Specialty Retail

$126.52+1.69(0.01%)Pre-market

Market Cap

$2.39B

P/E

21.5x

P/S

0.7x

P/B

19.9x

RH, together with its subsidiaries, operates as a retailer and lifestyle brand in the home furnishings market in the United States, Canada, the United Kingdom, Germany, Belgium, and Spain. The company operates in three segments: RH Segment, Waterworks, and Real Estate. It offers merchandise in various categories, including furniture, lighting, textiles, bath ware, décor, and outdoor and garden furnishings, as well as baby, child, and teen furnishings. The company also operates galleries, interior design studios, outlets, guesthouses, and showrooms. It sells its products through hospitality, websites, sourcebooks, and trade and contract channels, as well as retail locations and outlets. The company was formerly known as Restoration Hardware Holdings, Inc. and changed its name to RH in January 2017. RH was founded in 1980 and is headquartered in Corte Madera, California.

How this company scores

GoodMetricSide Score: 70/100

Strongest: Balance Sheet & Red Flags (23/25); weakest: Growth (11/25).

Profitability15/25

Growth11/25

Balance Sheet & Red Flags23/25

Cash & Earnings Quality21/25

Strengths

High ROELow leverageInterest easily coveredCash-backed earnings

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 21.5x5y range 9.9x – 55.3x

Currently above its 20-quarter median.

P/S · 0.7x5y range 0.7x – 2.4x

Currently below its 20-quarter median.

P/B · 19.9x5y range 5.6x – 967.1x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

Some Concerns

Margin Pressure

Watch

Operating margins declined 13.0% — watch for continued compression, which may signal competitive or cost pressure.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $2.39B

Metrics at a Glance

as of August 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $3.45B
Q. Revenue: $922.15M
TTM EBITDA: $502.61M
TTM Op. Income: $344.30M
Q. Op. Income: $107.57M
TTM Net Income: $111.51M
Q. Net Income: $60.17M
EPS: $3.18
Shares Out.: $18.91M

$3.45B in TTM revenue grew 2.8% YoY, reaching $922.15M last quarter. TTM EBITDA of $502.61M and TTM operating income of $344.30M show growth is flowing through to the bottom line. TTM net income of $111.51M means revenue is converting into profit. Over the past year, TTM revenue is up 3% — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 48.2%
EBITDA Margin: 16.1%
Op. Margin: 11.7%
Net Margin: 6.5%

Op. margin of 11.7% is down 2.7% YoY — costs are rising relative to revenue. Net margin at 6.5% and gross margin of 48.2% show how much of each revenue dollar survives to profit. Over the past year, operating margin is down 19% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 21.5x
P/S Ratio: 0.7x
P/B Ratio: 19.9x

At 21.5x P/E, the stock trades within typical market levels. P/S of 0.7x and P/B of 19.9x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has fallen for 2 consecutive quarters — an improving trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $5.13B
Cash: $125.49M
Long-Term Debt: $15.03M
Book Value: $120.35M
D/E Ratio: 0.1
Debt/EBITDA: 0.1

With $5.13B in assets and $15.03M in long-term debt, D/E is 0.1and book value is $120.35M — a conservative capital structure with a cushion to weather downturns. Over the past year, debt/equity is up 0% — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $145.22M
TTM Free Cash Flow: $250.50M
FCF Margin: 7.3%
FCF / Net Income: 2.2

TTM FCF of $250.50M on $145.22M in operating cash flow. The FCF / Net Income ratio of 2.2x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 1409% — an improving trend.